Greenchef Appliances
Listing performance
Scheduled dates
Tentative timetable — a past date is not confirmation the step completed
Issue details
- IPO date
- 23 Jun 2023 – 27 Jun 2023
- Listing date
- 06 Jul 2023
- Face value
- ₹10 per share
- Issue price
- ₹87 per share
- Lot size
- 1,600 shares
- Issue type
- Book Building issue
- Total issue size
- ₹53.62 Cr
- Market cap at offer price
- ₹202 Cr
- Promoter holding
- 100.00% → 73.52% pre-issue → post-issue
- ISIN
- INE0O7P01015
- Registrar
- MUFG Intime India Pvt.Ltd.
- Lead managers
- Hem Securities Ltd.
- Registered office
- No.477 E, IV Phase, Peenya Industrial Area, Bangalore Urban, Karnataka
Reservation and application size
How the issue is split between investor categories, and what each may bid
| Investor category | Shares | % of net | % of total |
|---|---|---|---|
| Anchor investor · within QIB | 17,52,000 | — | — |
| Market maker | 3,12,000 | — | — |
Application size
Minimum 1,600 shares per lot, in multiples, at ₹87
| Application | Lots | Shares | Amount |
|---|---|---|---|
| Retail (min) | 1 | 1,600 | ₹1,39,200 |
| S-HNI (min) | 2 | 3,200 | ₹2,78,400 |
| S-HNI (max) | 7 | 11,200 | ₹9,74,400 |
| B-HNI (min) | 8 | 12,800 | ₹11,13,600 |
Category limits
| Category | Bid size | Cut-off |
|---|---|---|
| Retail (RII) | Up to ₹2 lakh | Yes |
| Small HNI (sNII) | ₹2 lakh – ₹10 lakh | No |
| Big HNI (bNII) | Above ₹10 lakh | No |
| Employee | Up to ₹5 lakh | Yes |
Bidding at cut-off means accepting the final issue price without naming one. Only retail and employee applicants may do so.
Anchor investors
Institutional allocation placed a day before the issue opens, carved out of the QIB portion and locked in after listing.
Valuation and performance
Valuation at offer price
| Metric | Pre-issue | Post-issue |
|---|---|---|
| EPS (₹) | 5.97 | — |
| P/E (×) | 14.57 | — |
| Market cap | — | ₹202 Cr |
Key performance indicators
- Return on net worth
- 16.85%
- ROCE
- 12.52%
- Debt / equity
- 0.99
- PAT margin
- 0.23%
- NAV per share
- ₹30.22
Single period as reported. Year-on-year movement is in the financials table below, where every period is published.
About Greenchef Appliances
Greenchef Appliances Limited, incorporated in 2010, is engaged in manufacturing and marketing a wide range of kitchen appliances under the brand name 'Greenchef.' The company offers value-for-money solutions including gas stoves, pressure cookers, mixer grinders, wet grinders, electric rice cookers, induction cooktops, non-stick cookware (such as tawa, fry pan, kadai, biriyani pot), kettles, hose pipes, and other appliances like chimneys, stainless steel utensils, and fans. The company operates manufacturing facilities in Bangalore, Karnataka and Parwanoo, Himachal Pradesh, with distribution across 22 states and 3 union territories in India through approximately 450 distributors and online e-commerce platforms.
Company Analysis
from DRHPGreenchef Appliances Limited manufactures and markets a diverse range of kitchen appliances across cooking, food preparation, and cookware categories.
Greenchef Appliances Limited, incorporated in 2010, is engaged in manufacturing and marketing a wide range of kitchen appliances under the brand name 'Greenchef.' The company offers value-for-money solutions including gas stoves, pressure cookers, mixer grinders, wet grinders, electric rice cookers, induction cooktops, non-stick cookware (such as tawa, fry pan, kadai, biriyani pot), kettles, hose pipes, and other appliances like chimneys, stainless steel utensils, and fans. The company operates manufacturing facilities in Bangalore, Karnataka and Parwanoo, Himachal Pradesh, with distribution across 22 states and 3 union territories in India through approximately 450 distributors and online e-commerce platforms.
Objects of the Issue
- Funding Capital Expenditure towards installation of additional plant and machinery ₹514.76 lakhs p.77
- Funding Capital Expenditure towards construction of factory building ₹2,500.00 lakhs p.77
- Funding of working capital requirement [●] lakhs p.77
- General Corporate Purpose [●] lakhs p.77
Issue Structure
- Total Issue
- Upto ₹[●] lakhs (73,00,800 Equity Shares)
- Fresh Issue
- 73,00,800 Equity Shares aggregating to ₹[●] lakhs
- Offer for Sale
- Not Applicable
- Price Band
- ₹[●] to ₹[●] per Equity Share (Face Value ₹10/-)
- Lot Size
- [●] equity shares
- Face Value
- ₹10/- per Equity Share
Business Model
Greenchef operates a B2C manufacturing and distribution model, generating revenue through direct sales to distributors, modern retail chains, and online e-commerce platforms. The company manufactures products at its facilities and sells through a network of authorized distributors and modern retail partners including DMART, Reliance Retail, and online platforms such as Amazon, Flipkart, Jiomart, and BigBasket. The company also engages in backward integration by manufacturing certain components in-house.
Business Segments
SWOT Analysis
- • Diverse product portfolio across multiple kitchen appliance categories(p.18)
- • Significant market positions in key product verticals with multi-digit market shares(p.32)
- • Wide distribution network with established presence across multiple channels and geographies(p.29)
- • Strong backward integration capability in manufacturing operations(p.30)
- • Recent significant operational improvement reflected in profitability metrics(p.19)
- • Strong performance in online channels with growing penetration of e-commerce sales(p.29)
- • Established manufacturing footprint across geographically strategic locations(p.31)
- • Heavy reliance on two core product verticals for revenue generation(p.28)
- • Significant customer concentration risk among top distributors and retailers(p.27)
- • High supplier concentration exposing company to supply chain risks(p.27)
- • Limited geographic penetration with revenue heavily concentrated in southern states(p.30)
- • History of non-compliance with corporate governance and regulatory provisions(p.32)
- • Significant historical debt burden and dependence on unsecured loans(p.41)
- • Operating results and cash flows from operations have been unpredictable and negative in certain periods(p.31)
- • Sub-optimal capacity utilization levels in manufacturing facilities(p.41)
- • Substantial working capital requirements creating financial strain(p.36)
- • Limited intellectual property portfolio with incomplete trademark registrations(p.33)
- • Significant industry growth trajectory with sustained CAGR expansion in kitchen appliances market(p.18)
- • Expanding middle class consumer base with rising disposable incomes in emerging markets(p.128)
- • Rapid urbanization and tier-II and tier-III city growth creating new market segments(p.18)
- • Strong growth in e-commerce penetration providing new distribution channels(p.131)
- • Government initiatives promoting domestic manufacturing and consumption of kitchen appliances(p.134)
- • Opportunity to expand product portfolio into high-growth categories with superior margins(p.28)
- • Capacity to leverage backward integration for increased margin expansion(p.30)
- • Expansion of presence into organized retail modern trade channels(p.29)
- • International export opportunities as Indian kitchen appliances gain global recognition(p.102)
- • Intense competitive pressure from both organized and unorganized players with aggressive pricing(p.25)
- • Volatile raw material prices impacting production costs and profitability(p.27)
- • Exposure to macroeconomic slowdown impacting consumer discretionary spending(p.46)
- • Regulatory changes and compliance requirements increasing operational costs(p.34)
- • Supply chain disruptions and logistics challenges affecting product availability(p.27)
- • Currency fluctuations impacting import costs for foreign-sourced components(p.28)
- • Technology obsolescence requiring continuous product innovation investments(p.40)
- • Geopolitical tensions and external economic shocks creating unpredictability(p.46)
- • Rising input costs from inflation and wage pressures across supply chain(p.17)
Promoters
| Name | Role | Pre-Issue | Post-Issue |
|---|---|---|---|
| Sukhlal Jain | Promoter | 0.84% | [●] |
| Praveen Kumar Sukhlal Jain | Promoter | 1.20% | [●] |
| Vikas Kumar Sukhlal Jain | Promoter | 1.74% | [●] |
| Hitesh Kumar Jain | Promoter | 0.28% | [●] |
| Vikas Kumar Sukhlal Jain HUF | Promoter | 74.00% | [●] |
Leadership
Auto-extracted from the company's DRHP using AI, with each fact linked to its source passage (hover any row to see the quote & page). Provided for research only, not investment advice — verify against the official DRHP before relying on it.